A "Warrant Exercise Event" is spelled out in the second full paragraph of page -ii-:
The Warrants are not exercisable and will not entitle the holder to receive Common Shares (each, a "Warrant Share") except (i) when the 20-day volume-weighted average trading price of the Common Shares reaches or exceeds $0.0615 per Common Share; or (ii) immediately preceding a transaction that would constitute a change of control of Cline (as defined below) at a price or value per Common Share equal to or greater than $0.0615 (the first to occur of such event during the Warrant Exercise Period (as defined below) the "Warrant Exercise Event").
I need to read the entire thing again, this stuff is tedious. I just read the title to the Prospectus filed on Sedar 4/25/13 and it pertains to the current shareholders only. I was thinking the new shareholders (Marrett and standby's) where getting warrants as well, if they are it's not covered in this document.